Former Fed Chief: America’s fiscal woes will sink the country

Former Fed chief Alan Greenspan stated during an NBC program this weekend that bringing entitlement programs like Social Security under control was key to the country’s long-term economic prosperity.

The ex-central banker was queried over a few topics during NBC’s “Meet The Press” show and gave a mixed opinion about economic recovery, stating that “unemployment will stay at 9-10 percent” for a good portion of this year.

What was staggering was Greenspan’s prediction that America may cease to be a great power if it doesn’t get its “fiscal house” in order.

It might be interesting to see what Greenspan, whose monetary policies – some analysts say – are the root cause of the current credit crisis, has actually done to further his “fiscal restraint” mantra during his 19-year tenure at the Fed.